Tab for Sochi Olympics Fells Russian Moguls

Some Had Hoped Winter Games Would Bring Political Capital and Profits

SOCHI, Russia—Akhmed Bilalov leapt out of his seat in a hotel ballroom when Olympic officials announced more than six years ago that this city had won the prize of hosting the Winter Games in 2014.

It probably wasn't just a burst of euphoria about Russia landing its first Winter Olympics. A company controlled by Mr. Bilalov's brother, a longtime business partner, owned a tiny ski slope under construction in the mountains above Sochi.